Case Study

Habitat for Humanity

Transforming a New York City Pizzeria for Profitable Sale

Dive into our case study to see how Kandula International successfully transformed a bustling Bronx pizzeria from barely breaking even to significantly profitable. Leveraging our unique Growth Profit Strategy (GPS) assessment, we tackled underlying cost issues and revitalized the business’s marketing approach. This strategic overhaul not only boosted the pizzeria’s profit margins but also prepared it for a successful sale. Learn how our tailored solutions can drive similar results for your business.

Challenge

Perceived Issues

A serial entrepreneur launched a pizzeria in the Bronx with the goal of increasing its value for a future sale. Despite enjoying high foot traffic, the pizzeria faced low profits, primarily due to high operational and food costs.

Before partnering with us, the owner believed that the key to boosting profitability was enhancing the pizzeria’s exposure through a robust social media strategy. He thought that this approach would attract more customers and, in turn, increase revenue.

Actual Challenge Identified

Operational Efficiencies

Upon conducting our Growth Profit Strategy (GPS) assessment, we discovered that the real issue was not marketing but the cost margins. The pizzeria was struggling with high costs of food and operations which were drastically cutting into the profits. This fundamental misalignment of costs and pricing was the key barrier to achieving higher profitability and business growth.

Project Blueprint

Strategic Approach and Implementation

Project Objectives

  • Increase monthly revenue and profits to make the business attractive for sale.
  • Reduce operational and food costs while enhancing the pizzeria’s brand presence.

Solutions Implemented

A comprehensive operational and marketing strategy overhaul based on our Growth Profit Strategy (GPS) assessment.

  • Conducted a detailed food cost analysis and implemented a new menu pricing strategy.
  • Developed a profitable menu highlighting cost-effective dishes.
  • Sourced new vendors to reduce food and operational costs.
  • Redesigned the website to feature the most profitable menu items prominently.
  • Created new direct mail marketing materials and launched a local mail distribution campaign.
  • Developed and implemented a print and digital marketing strategy to increase brand awareness.

Tools and Technologies Used

Squarespace for website development, various design tools for visual and graphic design, and analytics tools for industry and operations assessments.

Results Achieved

Project Outcomes and Reviews

Results

  • Reduced costs by 30-35%
  • Increased profit margins from 9% to 15% within the first month.
  • Enhanced brand visibility and reputation in the local market.

Key Accomplishments

The owner successfully sold the business at a higher value due to the increased profitability and streamlined operations.

Client Testimonial

“Kandula International’s strategic insight and execution turned my pizzeria around in just one month, significantly boosting its profitability and making it an attractive acquisition. Their comprehensive approach was exactly what we needed.” – Owner, Bella Pizza

Visual Showcase

Portfolio Highlights